The Australian Taxation Office (ATO) has released the synthesised text of the tax treaty with China, providing clarifications regarding the impact of the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI).
The MLI will apply for the 1988 Australia-China tax treaty for taxes withheld at source on payments made to non-residents, starting from events occurring on or after 1 January, 2023, and for other taxes, starting from taxable periods commencing on or after 1 March, 2023.
This synthesised text is based on the reservations and notifications provided by each country to the Depositary.